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Environmental Science and Pollution Research

, Volume 25, Issue 9, pp 8432–8440 | Cite as

Benchmarking the efficiency of the Chilean water and sewerage companies: a double-bootstrap approach

  • María Molinos-SenanteEmail author
  • Guillermo Donoso
  • Ramon Sala-Garrido
  • Andrés Villegas
Research Article

Abstract

Benchmarking the efficiency of water companies is essential to set water tariffs and to promote their sustainability. In doing so, most of the previous studies have applied conventional data envelopment analysis (DEA) models. However, it is a deterministic method that does not allow to identify environmental factors influencing efficiency scores. To overcome this limitation, this paper evaluates the efficiency of a sample of Chilean water and sewerage companies applying a double-bootstrap DEA model. Results evidenced that the ranking of water and sewerage companies changes notably whether efficiency scores are computed applying conventional or double-bootstrap DEA models. Moreover, it was found that the percentage of non-revenue water and customer density are factors influencing the efficiency of Chilean water and sewerage companies. This paper illustrates the importance of using a robust and reliable method to increase the relevance of benchmarking tools.

Keywords

Water and sewerage industry Environmental variables Data envelopment analysis Efficiency Performance 

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Copyright information

© Springer-Verlag GmbH Germany, part of Springer Nature 2018

Authors and Affiliations

  • María Molinos-Senante
    • 1
    • 2
    • 3
    Email author
  • Guillermo Donoso
    • 4
    • 5
  • Ramon Sala-Garrido
    • 6
  • Andrés Villegas
    • 4
  1. 1.Departamento de Ingeniería Hidráulica y AmbientalPontificia Universidad Católica de ChileSantiagoChile
  2. 2.Instituto de Estudios Urbanos y TerritorialesPontificia Universidad Católica de ChileSantiagoChile
  3. 3.Centro de Desarrollo Urbano Sustentable CONICYT/FONDAP/15110020SantiagoChile
  4. 4.Departamento de Economía AgrariaPontificia Universidad Católica de ChileSantiagoChile
  5. 5.Centro de Derecho y Gestión del AguaPontificia Universidad Católica de ChileSantiagoChile
  6. 6.Departamento de Matemáticas para la Economía y la EmpresaUniversidad de ValenciaValenciaSpain

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